Shares of Novo Nordisk declined sharply following news that the company’s experimental heart drug, Ziltivekimab, failed a late-stage clinical trial. The Danish pharmaceutical firm’s stock dropped by as much as 10 percent before recovering slightly to close down 7.3 percent, marking its largest single-day fall since a profit warning issued earlier this year.
Ziltivekimab, a once-monthly injection, was developed to reduce the risk of major adverse cardiovascular events such as heart attacks and strokes in patients with heart disease, chronic kidney disease, and underlying inflammation. While the trial confirmed that the drug effectively lowered the targeted protein levels in patients, it did not demonstrate a statistically significant reduction in cardiovascular events compared with a placebo.
The phase 3 trial setback complicates Novo Nordisk’s efforts to diversify its portfolio beyond obesity and diabetes therapies, which accounted for more than 90 percent of its sales last year. The company is best known for its weight-loss drugs Wegovy and Ozempic. The failure represents a challenge in expanding into cardiovascular disease treatments, an area Novo continues to pursue.
Despite the disappointing trial results, Novo Nordisk stated that the outcome would not affect its previously announced adjusted operating profit outlook for 2026. However, the company plans to record a non-cash impairment charge related to the drug in the third quarter. Martin Holst Lange, the company’s executive vice president and head of research and development, emphasized that the findings would inform ongoing research efforts and reaffirmed Novo’s commitment to addressing unmet needs in cardiovascular disease.
Novo Nordisk also noted that two additional trials investigating Ziltivekimab’s impact on cardiovascular outcomes are underway, with results expected during the first half of next year. The drug initially entered Novo’s pipeline following its $725 million acquisition of Corvidia Therapeutics in 2020. Investment analysts, including those from Barclays, had previously projected peak annual sales for Ziltivekimab could reach approximately $1.5 billion.
The trial’s failure highlights the challenges faced by pharmaceutical companies in developing new cardiovascular therapies and underscores the risks involved in diversifying beyond established product lines. Novo Nordisk’s continued research efforts indicate its strategic focus remains on cardiovascular disease despite the recent hurdle.